World stocks hit one-month low as Turkish rout spreads

Erdogan says crash of lira 'political plot' against Turkey

The sell-off also represents a vote of no-confidence in a new system of government that earlier this year handed President Recep Tayyip Erdogan unrivalled authority, essentially paralysing the bureaucracy in Ankara.

The lira has lost more than 40 per cent against the dollar this year, largely over worries about President Recep Tayyip Erdogan's influence over the economy, his repeated calls for lower interest rates, and worsening ties with the United States.

"The plunge in the lira, which began in May, now looks certain to push the Turkish economy into recession, and it may well trigger a banking crisis", Andrew Kenningham, chief global economist at Capital Economics, told Reuters.

Turkey remains at loggerheads with the United States in one of the worst spats between the two North Atlantic Treaty Organisation allies in years over the detention for the last two years of American pastor Andrew Brunson and a host of other issues.

Turkey scrambled a delegation to Washington last week to stave off the crisis but no deal has been reached.

The State Department says it respects the election result.

The Brunson case is just one of many bones of contention between Turkey and the USA, ranging from Syria to Ankara's increasingly cosy relationship with Moscow. "We have not made concessions on justice so far, and we will never make any".

The US slapped sanctions on two Turkish officials earlier this month over a detained American pastor who is being tried on espionage and terror-related charges. There is no economic reason.

Sims Metal fell 8.7 per cent to $14.76 after China imposed a 25 per cent import tariff on scrap metals from the U.S. from August 23.

"If you come at us with your dollars we will try to find other ways to manage our affairs".

He had also said that dollars, euros and gold were now 'the bullets, cannonballs and missiles of the economic war being waged against our country'.

Third night of anti-government protests in Romania
They sent home just under bn previous year , a lifeline for rural communities in one of the EU's least developed countries. They also chanted "Thieves, thieves", waving Romanian, U.S., North Atlantic Treaty Organisation and European Union flags.

Turkey 'implores' Trump to return to table on tariffs
Erdogan has been putting pressure on the central bank to not raise interest rates in order to keep fueling economic growth. A spokesman for Ankara's foreign ministry said it would retaliate against the tariffs as it has done so far.

Dali Mpofu to represent MDC Alliance as they challenge Zim election result
But the legal challenge to his victory is likely to delay his inauguration that was scheduled to take place on Sunday. The MDC had until Friday to lodge its appeal - seven days after the results were announced.

Turkey is facing a deepening economic crisis, as the Lira fell sharply by about 22% in Friday's early morning trading.

Not much yet. Turkey's finance minister said they would start implementing an action plan on Monday but gave no further details.

The bank also said that it raised the maximum average maintenance facility for foreign exchange liabilities to 8 percent.

Mr Albayrak dismissed any suggestion that Turkey might intervene in dollar-denominated bank accounts, saying any seizure or conversion of those deposits into lira was out of the question.

"Concerns are also growing about European financial institutions due to their exposure to Turkey". The US has responded by slapping financial sanctions on two ministers and later doubled steel and aluminium tariffs on Turkey.

"Our relations with Turkey are not good at this time!"

On August 1 the United States announces sanctions against the Turkish interior and justice ministers, who they accuse of having played a major role in the arrest and detention of the pastor.

"Because of the high participation of foreign banks and portfolio investors in Turkey, there are clear risks of contagion", Hasnain Malik, a strategist who is the head of equity research at Exotix, said in an email.

The lira has now dropped some 45 percent this year.

Except that the fall in the Turkish lira, which earlier on Monday fell by a further 11% against the USA dollar to take its fall this year to more than 40%, has focused the minds of investors on what other economies may have similar characteristics, such as high levels of corruption and an unwillingness to tackle it among the political elite, or a high current account deficit and excessive reliance on overseas investors.

Turkey has weathered several tough economic crises over the decades.

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